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Palo Alto Networks (PANW): analysis in plain words

Is Palo Alto Networks cheap or expensive? How it makes money, whether it grows and its risks, explained in plain words and with its official accounts.

Palo Alto Networks (PANW) is listed on the Nasdaq and we classify it in software and cloud. Below are its key dated figures, how it makes money, how it compares with its sector, what works for and against Palo Alto Networks according to those figures, and the questions people ask most about the stock. No buy or sell tips.

Palo Alto Networks (PANW) key figures as of November 4, 2026

FigureValueWhat it measures
Share price$348.04Last price on November 4, 2026
P/E ratio (TTM)N/APrice over earnings per share
Revenue growth+34.5%Latest quarter vs the same quarter a year earlier
Net margin (TTM)2.7%Profit for every 100 of sales
Net debt / EBITDANet cash (more cash than debt)Years of operating profit to repay debt
Dividend yield0.00%Annual dividend over price
Market cap$284.9 billionWhat the stock market values it at

The Palo Alto Networks figures come from Yahoo Finance, the same source the Fintols analysis uses, retrieved on November 4, 2026. Any PANW figure that is not available shows as N/A: we do not estimate it.

How Palo Alto Networks makes money

Palo Alto Networks sells cybersecurity to companies and governments: next-generation firewalls, Prisma Access and Prisma Cloud to secure networks and cloud workloads, and Cortex for security operations centers. Revenue comes from product sales and, mostly, from recurring subscriptions and support, with the United States as its largest market.

Over the last 12 months, Palo Alto Networks brought in revenue of $11.5 billion. For every 100 it sells, Palo Alto Networks keeps 70.4 after the direct cost of what it sells (gross margin) and 5.4 after all operating costs (operating margin).

Palo Alto Networks against its sector

To know whether a Palo Alto Networks figure is high or low you have to put it next to similar companies. This table compares Palo Alto Networks with the median of the 19 software and cloud companies Fintols covers, with data as of November 4, 2026.

FigurePalo Alto Networkssoftware and cloud median
Revenue growth+34.5%+20.5% (25)
Net margin2.7%16.0% (25)
Dividend yield0.00%0.00% (25)
Net debt / EBITDA-0.3x0.1x (23)

In short, against the typical software and cloud company, Palo Alto Networks grows faster, earns a thinner margin and carries less debt. By size, Palo Alto Networks ranks number 4 of 22 software and cloud companies quoted in USD on Fintols.

The bull case for Palo Alto Networks

What works in favour of Palo Alto Networks, according to its figures as of November 4, 2026:

The main risk for Palo Alto Networks

Palo Alto Networks runs on a thin net margin (2.7%, against a software and cloud median of 16.0%): a rise in costs can easily wipe out profit.

And, like the rest of software and cloud, Palo Alto Networks is exposed to a competitor or AI making what it sells cheaper and forcing price cuts.

Frequently asked questions about Palo Alto Networks

Is it a good time to buy Palo Alto Networks stock?

Fintols does not tell you whether to buy or sell Palo Alto Networks, and nobody knows what the price will do tomorrow. What we can show you is where it stands today. As of November 4, 2026, Palo Alto Networks stock trades at $348.04, 19% below its 52-week high ($432.33) and 149% above its low ($139.57). With Palo Alto Networks, as with any stock, timing matters less than understanding the business, investing for the long run and not betting everything on a single company.

Does Palo Alto Networks pay a dividend?

No. As of November 4, 2026, Palo Alto Networks does not pay a dividend: what it earns stays in the company to grow, invest or, where it does so, buy back shares. Anyone buying Palo Alto Networks today is counting on the share price rising, not on income.

Is Palo Alto Networks stock expensive?

Palo Alto Networks has no meaningful P/E as of November 4, 2026 because its last 12 months of earnings are negative or close to zero, so that yardstick cannot tell you whether it is expensive. Including its debt, Palo Alto Networks is valued at 183.3x its EBITDA (EV/EBITDA). A high P/E alone does not make Palo Alto Networks expensive: it can be justified if earnings grow fast, and a low one can reflect a business in trouble.

Who are Palo Alto Networks's competitors?

On Fintols we compare Palo Alto Networks with Palantir, CrowdStrike and Fortinet, which are also in software and cloud. As of November 4, 2026, Palantir is worth $413.7 billion and trades on a P/E of 120.9; CrowdStrike is worth $246.8 billion; Fortinet is worth $95.1 billion and trades on a P/E of 42.3. Each has a side-by-side comparison with Palo Alto Networks below.

Palo Alto Networks competitors

To understand Palo Alto Networks better

More companies like Palo Alto Networks: software and cloud stocks and S&P 500 companies. Open the full PANW analysis with its valuation and scenarios. Educational content about Palo Alto Networks, not investment advice.